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Wednesday, March 11

Das Ka So!

I think this is the shortest title ever in the history of this blog .. The other day we were really bugged sitting at home and wanted to catch a movie badly. As usual , we always feel this way at the eleventh hour and being a Saturday , we had no illusions of getting a ticket. So, we saunter into Inox , find the booking counter omniously crowded and almost give up on getting a ticket , when this decent looking gentleman(we’ll call him Ramu) comes up to us strikes up a conversation with hubby .

Ramu: Saar, you want tickets ?Saar: Yeah !!!! .. Do you have tickets ?Ramu: Yes Saar. 100 rupees per ticket Saar: Isn’t the ticket 120 bucks? How come you are selling for 100 bucks ? Ramu: Illa Saar(No, Sir), 10 rupee ticket for 100 Saar:Too much. I am going to be sitting in the 2nd row and paying 100 bucks .. 80 bucks ok ? Ramu : No saar, I have other customers. 90 bucks. Final.Saar: Ok , Fine . I’ll Take it . But, won’t the seats be too uncomfortable? Ramu: No Saar. The seats are similar to 120 bucks seat. 1st 2 rows have to be sold at 10 rs as per government regulations. Saar: Oh, ok! Tell me something,how did you get 10 rupee tickets? Ramu: I come here at 5 in the morning to buy all the tickets for the day.Saar: Oh ok .. Happy selling.

Later when we discussed about Ramu’s business model,what we stumbled upon had us gasping for air. Let me elaborate..

First a few assumptions(which might be true also .. but our calculations are approximate!)

- Assume that there are 2 rows of 10 seats each in a theatre. That gives us 20 seats - Assume that there are 5 screens - Assume that there are 4 shows for each screen

That gives us a total of 20*20(400) tickets to be sold in a day. Now each ticket costs 10 bucks .

Outflow for Ramu (if he buys all tickets) : Rs. 4000

If Ramu sells a ticket for 80 bucks(avg out ) , his inflow will be 80*400 = 32000 bucks

Assuming that Ramu operates on 60% capacity, he will manage to get 0.60*32000 = 19,200 bucks. Ramu probably has to pay of people and lets assume that 30% of daily earnings is paid off as bribes .That leaves Ramu with 13,440 bucks . Even if Ramu works for 3 days (Fri-sat –Sunday), his earnings for the week would be 40,320 bucks. That’s 1,61,280 bucks per month . Tax Free dough!

Even if Ramu does get hauled by the police for selling black tickets, he would have to pay 25-30k for bail and will still clear over a lakh a month !.

How do u like Ramu’s business model ? I heard he is selling rights for the Wednesday and Thursday slots .. any takers?

Idea Copyrights owned by Bedazzled and HooHaaHaa.Royalty(10% of net earnings) to be paid to copyright owners if anyone becomes Ramu's associates. ;-)

35 comments:

Interesting model!! and even more interesting analysis by the Idea copyrights couple!!!! :) Why not put your foot forward and take up the selling rights for those days?! What is the catch?! Apart from the unnecessary royalty fees! ;)

Wow...sooper analysis...but do u think there is only one ramu there? what if he has competitors and aso the amount to bribe the guys in ticketing counter[n cops] cud be higher..so i thinks the margin got got be less but still its big money.

I have a better business model for you - Download all the movies from torrents, and sell the DVDs for 60 bucks each. A DVD costs 20 bucks, which gives you a clean 40 bucks profit per DVD...!! Do the math..Oh wait, aren't people doing this already? Damn!!